Lokayukta will issue notices to more IAS officers
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Uttar Pradesh Lokayukta NK Mehrotra, who is probing the alleged irregularities in the sale of state-owned sugar mills during the BSP regime, is going to issue notices to another more than a dozen senior IAS officers who were part of two high-level committees involved in the sale of sugar mills between October 2010 and March 2011.
Mehrotra said his office was in the process of issuing notices to the members of the Consultative Evaluation Committee (CEC) for the sale of sugar mills to get their clarifications on the alleged anomalies in the sale. He said a list of the IAS officers who served as the members of the committee and their current posting has been received from the Appointment Department.
He said the CEC members included then Industry and Infrastructure Development Commissioner(IIDC), then principal secretaries of Finance, Planning, Law, Sugarcane Development, Infrastructure Development departments, then cane commissioner, then managing director of Uttar Pradesh Rajya Chini Evam Ganna Viaks Nigam Limited (UPRCGVNL) and then managing director of Uttar Pradesh State Sugar Corporation Limited (UPSSCL).
According to the report of Comptroller and Auditor General (CAG), UP suffered a loss of Rs 1,179 crore because of anomalies and discrepancies in the process of disinvestment of mills.
CAG report alleged that the mills owned by UPSSCL and UPRCGVNL were sold to private entrepreneurs at low prices by flouting rules. As per the report, the process for selling 21 mills — including the 10 mills run by UPSSCL and 11 closed mills of UPRCGVNL — was completed between October 2010 and March 2011. The Lokayukta is conducting his probe on the basis of the findings of the CAG report.
The report had said that as companies related to each other participated in the bidding process, this led to a lack of competition for purchase at several places. It had also alleged under-valuation of assets by the authorities which benefitted the buyers.